Equinor has revealed that, on behalf of the BM-C-33 license, it has awarded a contract for subsea umbilicals, risers and flowlines (SURF) to TechnipFMC, and a gross sales and buy settlement (SPA) for the supply of a floating manufacturing, storage and offloading (FPSO) unit to MODEC Inc.
The SURF system will probably be put in in water depth of roughly 2,900 meters, Equinor famous, including that that is the deepest set up within the firm’s historical past. This deal consists of supply of Subsea 2.0 tree techniques, manifolds, jumpers, inflexible risers and flowlines, umbilicals, pipeline finish terminations, and subsea distribution and topside management tools, Equinor outlined.
The FPSO award is principally one lump sum turnkey contract together with engineering, procurement, development, and set up for your entire unit, Equinor said. MODEC can even present Equinor with operations and upkeep service of the FPSO for the primary 12 months from its start-up, after which Equinor plans to function the unit, Equinor revealed.
Equinor didn’t disclose the worth of the contracts. MODEC additionally made no point out of contract worth in an announcement posted on its web site in regards to the Equinor deal. In an announcement posted on its web site, TechnipFMC described its Equinor deal as “main”, which TechnipFMC defines as being value greater than $1 billion.
In its assertion, TechnipFMC highlighted that the Equinor award follows the conclusion of an built-in Entrance Finish Engineering and Design research of the BM-C-33 discipline. MODEC famous that the FPSO is without doubt one of the most complicated services in MODEC’s historical past, “dealing with massive volumes of exported gasoline with a serious give attention to GHG emissions discount”.
Equinor, TechnipFMC, MODEC Feedback
In an organization assertion, Geir Tungesvik – Equinor’s Govt Vice President for Initiatives, Drilling & Procurement – stated, “we’re happy to award these contracts to firms identified for his or her experience and high quality, which will probably be essential for these milestone deliveries to the BM-C-33 growth”.
“MODEC was additionally awarded the FPSO contract for our Bacalhau venture, and we glance ahead to attract from experiences between the 2 initiatives, to make sure protected and environment friendly execution of the developments. We even have an extended historical past of collaboration with TechnipFMC and we’re happy to proceed our good collaboration on one other main venture growth,” he added.
Veronica Coelho, Equinor’s Senior Vice President and Nation Supervisor for Brazil, stated, “BM-C-33 is a world class asset within the Brazilian pre-salt Campos space”.
“Brazil is a core development space for Equinor, and the corporate has ambitions to deepen our presence within the nation. BM-C-33 will probably be an essential contributor to succeed in this aim, being a key gasoline provider to the home market, contributing to industrial growth and vitality safety domestically,” Coelho added.
“On the identical time, we’re dedicated to make use of expertise to decrease our emissions considerably. BM-C-33 has a carbon depth goal of lower than 6 kg/boe over the sector lifetime, whereas the worldwide trade common is 16 kg CO2 per barrel,” Coelho continued.
Jonathan Landes, the President of Subsea at TechnipFMC, stated “iEPCI continues to reshape our trade, demonstrating our distinctive potential to convey collectively all of the subsea parts of an built-in resolution”.
“We’ve constructed belief with our shoppers, and to see Equinor make the most of our Subsea 2.0 configure-to-order resolution together with iEPCI is a proud second for us,” Landes added.
Takeshi Kanamori, the President and CEO of MODEC, stated, “we’re extraordinarily honored and proud to be chosen to offer an FPSO for the BM-C-33 venture”.
“We’re equally happy with the arrogance Equinor clearly has in MODEC. We imagine this award represents a robust relationship of belief between us constructed upon the continued Bacalhau FPSO venture in addition to our sturdy monitor report within the pre-salt area,” Kanamori added.
“We look ahead to cooperating intently with Equinor and companions to make this venture successful,” Kanamori went on to notice.
BM-C-33 Last Funding Determination
On Might 8, Equinor introduced that the corporate, Repsol Sinopec Brasil, and Petrobras had taken the funding choice to develop the BM-C-33 venture in Brazil, including that the funding is of roughly $9 billion.
BM-C-33 is situated within the Campos Basin and contains three totally different pre-salt discoveries – Pão de Açúcar, Gávea and Seat. These include pure gasoline and oil/condensate recoverable reserves above one billion barrels of oil equal, in response to Equinor.
The idea chosen for BM-C-33 is predicated on an FPSO able to processing gasoline and oil/condensate and specifying these on the market and not using a want for additional onshore processing, Equinor famous within the Might announcement. The FPSO’s manufacturing capability is of 16 million cubic meters of gasoline per day with common exports anticipated of 14 million cubic meters of gasoline per day, Equinor highlighted. Begin-up is deliberate in 2028.
“The ultimate funding choice of BM-C-33 is a vital milestone for the companions and for Equinor,” Tungesvik stated in an organization assertion final week.
“Along with companions and suppliers now we have developed a big venture which is able to present Brazil with vitality to satisfy its rising vitality calls for and create worth for homeowners and society, contributing to native industrial growth,” he added.
“Brazil is considered one of Equinor’s core areas and the funding in BM-C-33 emphasizes the strategic significance of our Brazilian portfolio,” Tungesvik continued.
Within the assertion, Coelho stated, “BM-C-33 is without doubt one of the important initiatives within the nation to convey new provides of home gasoline, being a key contributor to the additional growth of the Brazilian gasoline market”.
“Fuel exported from the venture might signify 15 % of the entire Brazilian gasoline demand at start-up. Its growth can even contribute to the vitality safety and financial growth, enabling lots of new job alternatives domestically,” Coelho added.
Equinor holds a 35 % operated curiosity in BM-C-33. Repsol Sinopec Brasil additionally holds a 35 % stake, and Petrobras holds the remaining 30 % curiosity. Equinor turned the operator of the event again in 2016.
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